Shopping centre owner Intu threatens large tenants over unpaid rent

Shopping centre owner Intu has threatened legal action against large tenants it believes may be unfairly withholding rent.

The owner of the Trafford shopping centre in Manchester has been paid only 40pc of the quarterly rent due to be paid at the end of March.

Many tenants have been forced to close by the government under the coronavirus lockdown but others, such as Boots, Sainsbury’s and Marks & Spencer, are still allowed to trade.

Intu, which owns 17 shopping centres in the UK and Spain, said it was in advanced discussions with tenants over a further 28pc of rent due, and was discussing repayment plans with others.

It added: "However, there are a very small number of cases where customers are not currently engaging with us to find a consensual solution – these are large, well-capitalised brands who have the ability to pay but have chosen not to.

"In these instances we are prepared to take more robust action to enforce the legally binding terms of those leases.”